MIAMI – EasyJet confirmed today an agreement with Air Berlin to acquire part of its insolvent operations at Berlin Tegel Airport for €40 million. The signed deal is expected to be sealed by December 2017, subject to regulatory approvals.
easyJet today signed an agreement with Air Berlin to acquire part of its operations at Berlin Tegel Airport https://t.co/JzuovZPUFz
— easyJet Press Office (@easyJet_press) October 27, 2017
The acquisition of the German carrier excludes potential start-up and transitional operating costs. However, easyJet is buying landing slots as well as leases for AirBerlin’s 25 Airbus A320 aircraft.
The share price of easyJet’s rose by 1.32% to £12.89 after the deal made. The UK carrier will secure 1,000 Air Berlin jobs through a recruitment campaign.
According to easyJet, this will enable the airline to operate the short-haul network at Tegel connecting passengers to and from destinations across Germany and the rest of Europe, in addition to their base at Berlin Schönefeld.
Also, the UK carrier said they would operate “a reduced timetable at Tegel during the winter season” but plans to serve a full schedule from summer season 2018.
Through an agreement with Lufthansa Group, Air Berlin already sold Austrian airline, Niki, and LGW (Luftfahrtgesellschaft Walter).
Air Berlin faced bankruptcy in August after Etihad Airways withdrew its financial support, leading the former into “insolvency administration.” A governmental loan kept Air Berlin operations to give it time to negotiate with investors and possible buyers. The last Air Berlin flight was on October 28, 2017.
With the signed deal, easyJet said that it “looks forward to building on the strong, customer-focused platform it already has in Berlin to fly more passengers, employ more people and support more economic growth” in Germany.